BYLAWS OF LAKE RIDGE WILDWOOD ASSOCIATION, INC. (A Texas Non-Profit Corporation) ARTICLE l NAME

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1 BYLAWS OF LAKE RIDGE WILDWOOD ASSOCIATION, INC. (A Texas Non-Profit Corporation) ARTICLE l NAME The name of the corporation shall be LAKE RIDGE WILDWOOD ASSOCIATION, INC., hereinafter called Association. ARTICLE ll PURPOSE AND OWNER OBLIGATION 2.1 PURPOSE: The purpose for which this non-profit corporation is formed is to provide for the acquisition, construction, management, maintenance, care and preservation of all or portions of that certain residential subdivision located in the City of Cedar Hill, Dallas County, Texas, known as Lake Ridge Village 2 Wildwood Subdivision Sections 1 & 2 (the Properties), an addition to the City of Cedar Hill, Texas, according to the two plats thereof, one recorded in Volume 86056, Page 4176 of the Map Records of Dallas County, Texas, and the other recorded in Volume 86056, Page 4208 of the Map Records of Dallas County, Texas, as revised by that certain amended plat thereof recorded in Volume 86176, Page 2773 of the Map Records of Dallas County, Texas, and which Properties have been made subject to certain covenants, assessments, easements, conditions, restrictions, charges and liens pursuant to that certain Declaration of Covenants, Conditions and Restrictions for Lake Ridge Village 2 Wildwood Properties Section 1 & 2 (the Declaration ) which Declaration is to be filed of record in the Deed Records of Dallas County, Texas. 2.2 OWNER OBLIGATION: All present or future Owners, occupants (including lessees) or any other person who might use any portion of the Properties in any manner, are subject to the requirements set forth in these Bylaws. The mere acquisition or rental of any lot in the Properties or the mere act of occupancy of any of said Lots will signify that these Bylaws are accepted and ratified and will be strictly followed. ARTICLE lll DEFINITION AND TERMS 3.1 DEFINITIONS: The terms used in these Bylaws, to the extent they are defined in the Declaration, shall have the same definition as set forth in the Declaration, as the same may be amended from time to time, recorded in the office of the County Clerk of Dallas County, Texas. 3.2 MEMBERSHIP: Any person on becoming an Owner of a Lot shall automatically become a member of this Association and shall be subject to these Bylaws, provided however, that any person or entity who holds any interest in and to any Lot merely as security for the performance of any obligation shall not be a member of the Association whenever such person ceases to own a Lot. Such termination shall not

2 relieve or release any such former Owner from any liability or obligation arising out of or in any way connected with the Properties during the period of such ownership and membership in this Association, or impair any rights or remedies which the Board of Directors of the Association or others may have against such former Owner arising out of or in any way connected with such ownership and membership and the covenants and obligations incident thereto. No certificates of stock shall be issued by the Association. 3.3 VOTING CLASSES: The Association shall have two classes of voting membership: Class A: Class A members shall be all Owners with the exception of Lake Ridge Development Company, a Texas limited partnership ( Developer ). Class A members shall be entitled to one (1) vote for each Lot owned by such member. When two or more persons entities hold undivided interest in any Lot, all such persons or entities shall be Class A members, and the vote for such Lot shall be exercised as they, among themselves, determine, but in no event shall more than one vote be case with respect to each Lot in which such members own undivided interests. Class B: Class B members shall be Developer. The Class B member shall be entitled to five (5) votes for each Lot owned by it until such date (the Termination Date ) which shall be the earlier to occur of : (a) the date of delivery of written notice from Developer to the Association notifying the Association of Developer s election to cause the occurrence of the Termination Date; or (b) the later date to occur of (1) December 31, 1999, or (2) the date when Developer shall have sold and conveyed seventy-five percent (75%) of the Lots (including any property which shall constitute a Lot of Lots by reason of additions or annexations to the Properties to third party purchasers, at which time the Class B member shall be entitled to only one vote for each Lot owned by it. 3.4 MAJORITY OF OWNERS: As used in these Bylaws the term Majority of Owners shall mean those Owners with at least fifty-one percent (51%) of the combined weighted votes entitled to be cast. 3.5 QUORUM: Except as otherwise provided in these Bylaws, the presence in person or by proxy of a Majority of Owners as defined in Section 3.4 hereof shall constitute a quorum. Except as otherwise provided in the Articles of Incorporation, the Declaration or these Bylaws, the acts of the majority of the Owners present, in person or by proxy, at a meeting at which a quorum is present shall be the acts of the members of the Association. 3.6 PROXIES: Votes may be cast in person or by proxy. Proxies must be filed with the Secretary before the appointed time of each meeting. ARTICLE lv ADMINISTRATION 4.1 PLACE OF MEETINGS: All annual special meetings of the Association shall be held at the principal office of the Association or at such other suitable and convenient

3 place as may be permitted by law and from time to time fixed by the Board of Directors and designated in the notice of such meetings. 4.2 ANNUAL MEETINGS: Annual meetings (herein so called) shall be held the second Tuesday of March of each year. 4.3 SPECIAL MEETINGS: It shall be the duty of the President to call a Special Meeting (herein so called) of the Owners as directed by resolution of the Board of Directors or upon receipt of a petition signed be at least sixty-seven percent (67%) of the Owners and presented to the Secretary. The notice of any Special Meetings shall state the time and place of such meeting and the purpose thereof. No business shall be transacted at the Special Meeting except as stated in the notice unless by consent of seventy-five percent (75%) of the Owners present, either in person or by proxy. 4.4 NOTICE OF MEETINGS: The Secretary shall mail notices of Annual Meetings and Special Meetings to each Owner at the address of such Owner appearing on the records of the Association, unless such Owner has given written notice to the Association of a different address, said notice having been actually received by the Association in which event such notice shall be sent to the Owner at the address so designated. In such event, such notice shall conclusively be deemed to have been delivered by the Association or its authorized agents or representatives, by placing same in the United States mail, properly addressed, whether received by the addressee or not. Such notice shall be mailed not less then fifteen (15) Days nor more than thirty (30) Days before the date of such meeting and shall state the date, time and place of the meeting and the purpose or purposes thereof. 4.5 ADJOURNED MEETING: If any meeting of Owners cannot be organized because a quorum is not present, the Owners who are present, either in person or by Proxy, may adjourn the meeting from time to time until a quorum is attained. 4.6 ORDER OF BUSINESS: The order of business at all regular meetings of the Owners shall be as follows: a. Roll Call b. Proof of notice of meeting or waiver of notice c. Reading of minutes of preceding meeting d. Report of Officers e. Report of Committees f. Election of Directors g. Unfinished business h. New business i. Adjournment ARTICLE V BOARD OF DIRECTORS 5.1 NUMBER AND QUALIFICATION: The affairs of this Association shall be governed by a Board of Directors composed of not less than three (3), nor more than five (5), persons which shall be elected at the first meeting of the Owners.

4 5.2 POWERS AND DUTIES: The board of Directors shall have the power and duties necessary for the administration of the affairs of the Association and for the operation and maintenance of the Properties. The Board of Directors may take all acts and do all things which the Board of Directors shall deem necessary for the acquisition, construction, management maintenance, care and preservation of all or portions of the Properties and Common Properties, and which actions and things are not prohibited by, or directed to be carried out by the Owners pursuant to, the Articles of Incorporation, the Declaration or these Bylaws, including but not limited to the following powers and duties: a. To take such action to enforce the terms and provisions of the Declaration, the Articles of Incorporation and these Bylaws by appropriate means and carry out the obligations of the Association under the Declaration, including without limitation, the expenditure of funds of the Association, the employment of legal counsel and accounting services, the commencement of legal causes of action, the promulgation and enforcement of the Association rules, and to enjoin and/or seek legal damages from any Owner for violation of such provisions or rules. b. To acquire the Common Properties, and construct, maintain, repair, replace and otherwise manage all of the Common Properties and the Landscaped Medians and all signs, fences, walls, facilities, and landscaping thereon, and all personnel property acquired or owned by the Association; c. To convey, sell, transfer or lease all or part of the Common Properties; provided, however, such sale or conveyance of any real property and Improvements located thereon if first approved by at least fifty-one percent (51%) of the eligible votes of the membership of the Association, voting in person or by proxy, at a Special Meeting duly called for such purpose; d. To execute all declarations or ownership for tax assessment purposes and to pay any and all real and personnel property taxes and other charges or assessments against the Common Properties, unless the same are separately assessed to all or any of the Owners; e. To obtain, for the benefit of the Common Properties, all water, gas, telephone and electric services, refuse collections, maintenance services and other services, which in the opinion of the Board of Directors shall be necessary or proper; f. To make such dedications and grant such easements which in its opinion are necessary for Street, right-of-way, utilities, sewer and drainage facilities over the Common Properties to serve the Properties or any part; g. To contract for and maintain such policy or policies of insurance as may be required by the Declarations or as the Board of Directors deems necessary or desirable in furthering the purposes of and protecting the interest of the Association and its members;

5 h. To borrow funds to the extent deemed advisable by the Board of Directors to pay any expenses incurred by the Association in connection with any actions taken by the Association pursuant to the Articles of Incorporation, these Bylaws or the provisions of Article Four of the Declaration; i. To enter into contracts for consulting, contracting, architectural, legal and/or accounting services, maintain one or more bank accounts, and generally, to have management of the Association and the Common Properties and to accomplish the purposes of the Declaration; j. To take action necessary to protect or defend the Common Properties or other property of the Association from loss or damage by suit or otherwise; k. To sue and defend in any court of law on behalf of the Association; l. To establish and maintain a working capital and/or contingency fund in an amount to be determined by the Board of Directors; m. To make reasonable rules and regulations for the operation and use of the Common Properties and to amend same from time to time; n. To make available to each Owner and other individual or entity holding a mortgage or deed of trust on any Lot, tract or parcel of real estate out of or a part of the Properties within ninety (90) Days from and after the end of each fiscal year, an annual report of the Association; o. To adjust the amount, collect and use any insurance proceeds to repair damage or replace lost property owned by the Association, and if the proceeds are insufficient to repair damage or replace lost property owned by the Association, to seek to access the members in proportionate amounts to cover said deficiency pursuant to the Special Assessments provisions of Section 3.04 of the Declarations; p. To contract with the City of Cedar Hill, Texas, to maintain open areas, flood plains, street medians or other areas located within the Properties; q. To delegate its powers and duties to committees, officers or employees as provided in these Bylaws, employ a manager or other persons and contract with independent contractors or managing agents who have professional experience to perform all or any part of the duties and responsibilities of the Association; provided, however, that any contract with a person or entity appointed as a manager or managing agent shall be terminable without cause on not more than sixty (60) Days written notice by the Association and shall have a term of not more than one (1) year with successive one (1) year renewable periods upon the mutual agreement of the parties; r. To meet at least twice a year;

6 s. To designate the personnel necessary for the maintenance and operation of the Properties; and t. In general, to carry on the administration of this Association and to do all of those things, necessary and reasonable, in order to carry out the intent of the Declaration. 5.3 ELECTION AND TERM OF OFFICE: At the first meeting of the Association each Director shall be elected to serve a term of one (1) year. The persons acting as Directors shall hold office until their successors have been elected and hold their first meeting. 5.4 VACANCIES: Vacancies on the Board of Directors caused by any reason other than the removal of a Director by a vote of the Association shall be filled by vote of the majority of the remaining Directors, even though they may constitute less than a quorum. Each Director so elected shall serve out the remaining term of his predecessor. 5.5 REMOVAL OF DIRECTORS: At any Annual Meeting or Special Meeting duly called, any one (1) or more of the Directors may be removed with or without cause by a majority of the Owners, and a successor may then and there be elected to fill the vacancy thus created. Any Director whose removal has been proposed by the Owners shall be given an opportunity to be heard at such meeting. 5.6 ORGANIZATION MEETING: The first meeting of a newly elected Board of Directors shall be held within ten (10) Days of election at such place as shall be fixed by the Owners at the meeting at which such Directors were elected, and no notice shall be necessary to the newly elected Directors in order legally to constitute such first meeting, providing a majority of the whole Board of Directors shall be present at such first meeting. 5.7 REGULAR MEETINGS: Regular meetings of the Board of Directors may be held at such time and place as shall be determined, from time to time, by a majority of the Directors, but at least two (2) such meetings shall be held during each fiscal year. Notice of regular meetings of the Board of Directors shall be given to Directors, personally or by mail, telephone or telegraph, at least three (3) Days prior to the day named for such meeting. 5.8 SPECIAL MEETINGS: Special meetings of the Board of Directors may be called by the President or Secretary, or upon the written request of at least two (2) Directors. The President or Secretary will give three (3) Days personnel notice to each Director by mail, telephone or telegraph, which notice shall state the time, place (as hereinabove provided) and purpose of the meeting. 5.9 WAVIER OF NOTICE: Before or at any meeting of the Board of Directors, and Director may in writing wavier notice of such meeting and such waiver shall be deemed equivalent to the giving of such notice. Attendance by a Director at any meeting of the Board shall be a waiver of notice by him of the time and place thereof. If all the Directors are present at any meeting of the Board, no notice shall be required and any business may be transacted at such meeting.

7 5.10 ACTION WITHOUT A MEETING: Any action required or permitted to be taken at a meeting of the Board of Directors may be taken without a meeting in through a Unanimous Written Consent of the Board of Directors (herein so called), setting forth the action so taken, if signed by all of the Directors. Such consent shall have the same force and effect as a unanimous vote BOARD OF DIRECTOR QUORUM: At all meetings of the Board of Directors, a majority of Directors shall constitute a quorum for the transaction of business, and the acts of the majority of the Directors present at a meeting at which a quorum is present shall be the acts of the Board of Directors. If, at any meeting of the Board of Directors, there is less than a quorum present, the majority of those present may adjourn the meeting from time to time FIDELITY BONDS: The Board of Directors may require that all officers and employees of the Association handling or responsible for Association funds shall furnish adequate fidelity bonds. The premium on such bonds shall be paid by the Association. ARTICLE Vl OFFICERS 6.1 DESIGNATION: The officers of the Association shall be President, Vice President, Secretary, Assistant Secretary and Treasurer. 6.2 ELECTION OF OFFICERS: The officers of the Association shall be elected annually by the Board of Directors at the organization meeting at each new Board and shall hold office at the pleasure of the Board of Directors. 6.3 REMOVAL OF OFFICERS: Upon an affirmative vote of a majority of the members of the Board of Directors, any officer may be removed, either with or without cause, and his successor may be elected at any regular meeting of the Board of Directors or at any special meeting of the Board of Directors called for such purpose. 6.4 PRESIDENT: The President shall be the chief executive officer of the Association. He shall preside at all meetings of both the Association and the Board of Directors. He shall have all the general powers and duties which are usually vested in the office of president of an association, including, but not limited to, the power to appoint committees from among the Owners to assist in the administration of the affairs of the Association. 6.5 VICE PRESIDENTS: The Vice President shall perform all of the duties of the President in the President s absence and such other duties as may be required of him from time to time by the Board of Directors. 6.6 SECRETARY: The Secretary shall: a. keep the minutes of all meetings of the Board of Directors and the minutes of all meetings of the Association. He/she shall have charge of such books and papers as the Board of Directors may direct; and he/she shall, in general perform all the duties incident to the office of the Secretary; and

8 b. compile and keep up to date at the principal office of the Association a complete list of Owners and their last known addresses as shown on the records of the Association. Such list shall be open to inspection by Owners and other persons lawfully entitled to inspect the same during regular business hours. 6.7 TREASURER: The Treasurer shall receive and deposit in appropriate bank/savings and loan accounts all money of the Association and shall have the authority to disburse such money as directed by resolution of the Board of Directors, (provided, however, that a resolution of the Board of Directors shall not be necessary for disbursements made in the ordinary course of business conducted within the limits of a budget adopted by the Board of Directors), including authority to: sign all checks of the Association; keep proper books of account; cause an annual statement of the Association s books to be made at the completion of each fiscal year; prepare an annual budget and a statement of income and expenditures to be presented to the Membership at its regular annual meeting, and deliver a copy of each to the Owners; and perform all other duties assigned to him/her by the Board of Directors. ARTICLE Vll INDEMNIFICATION OF OFFICERS AND DIRECTORS The Association shall indemnify every Director or officer, his/her heirs, executors and administrators, against all loss, cost and expense, including counsel fees, reasonably incurred by him in connection with any action, suit or proceeding to which he may be made a party by reason of his being or having been a Director or officer of the Association, except in matters of gross negligence or willful misconduct. In the event of a settlement, indemnification shall be provided only connection with such matters in which the Association is advised by legal counsel to the Association that the person to be indemnified has not been guilty of gross negligence or willful misconduct in the performance of his duty as such Director or officer in relation to the matters involved. The foregoing rights shall not be exclusive of other rights to which such Director or officer may be entitled. All liability, loss, damage, cost and expense incurred or suffered by the Association in connection with the foregoing indemnification provision shall be treated and handled by the Association as an expense of the Association; provided, however, nothing contained in this Article lx shall be deemed to obligate the Association to indemnify any Owner who is or has been a Director or officer of the Association, with respect to any duties or obligations assumed of liabilities incurred by him/her under and by virtue of the Declaration. ARTICLE Vlll OBLIGATIONS OF THE OWNERS 8.1 ASSESSMENTS: All Owners shall be obligated to pay the annual Regular Assessments and Special Assessments imposed by the Association to meet the expenses of the Association pursuant to the purpose and procedures set forth below and in the Declaration:

9 a. Purpose of Assessments. The Regular Assessments and Special Assessments provided for herein and in the Declaration shall be levied, collected and administered by the Association and shall be used for the operation of the Association, carrying out all duties for the operation of the Association, carrying out all duties of the Board of Directors pursuant to Article lv of the Declaration, the Articles of Incorporation and these Bylaws, improvement, maintenance, repair and replacement of the Common Properties, and the carrying out of all of the Association s rights, duties and responsibilities under the Declaration, including, but not limited to, the cost of taxes, insurance, labor, equipment, materials, management, special consultants to the Board of Directors and the Committees, maintenance, operations of recreational facilities and the Association s administrative costs associated with the foregoing. All sums received by the Association pursuant to the Regular Assessment or Special Assessments under the Declaration, the Articles of Incorporation and these Bylaws, shall be held in trust for the benefit of the Owners and for the purposes and uses designated in the Declaration, the Articles of Incorporation and these Bylaws. The Association shall maintain appropiate records of all expenditures of funds and all assessments, which records shall be open for inspection by any Owner during normal business hours upon reasonable notice and at the Owner s costs and expense. b. Regular Assessment. Each Owner shall pay each year to the Association a Regular Assessment of two Hundred Fifty and No/100 Dollars ($250.00) per Lot owned by such Owner, which Regular Assessment shall be due and payable in annual payments as hereinafter provided. The Regular Assessment may be increased by the Board of Directors once each year to an amount not in excess of 125% of the Regular Assessment for the immediately proceeding year; any increase in excess of 125% of the Regular Assessment for the immediately preceding year must be approved by vote of the membership of the Association as provided in Section 8.1 (d) hereof. The Board of Directors may, after consideration of current maintenance costs and future needs of the Association, fix the actual Regular Assessment for any year at a lesser amount. Notwithstanding anything herein contained to the contrary, until the Termination Date Developer shall only be required to pay Regular Assessments for the aggregate amount of Lots then owned by Developer in the amount of the lesser of: (i) the Association s then current annual operating deficit, including replacement reserves; or (ii) the then current Regular Assessment for each Lot owned by Developer. After the Termination Date, Declarant shall pay the then current Regular Assessment for each Lot owned by Developer. c. Special Assessments. In addition to the Regular Assessment authorized by Section 8.1 (b), the Association may, by vote of the Owners as set in Section 8.1 (e), levy in any assessment year or years a Special Assessment for the purpose of defraying, in whole or part, the cost of any construction or reconstruction, unexpected repair or replacement of a particular improvement including the necessary fixtures and personnel property related thereto, in accordance with Section 8.1 (a), or for carrying out other purposes of the Association as stated herein or in the Articles of Incorporation or in the Declaration. d. Vote Required for Increase in Rate of Regular Assessment. An increase in the Regular Assessment in excess of 125% of the Regular Assessment for the immediately preceding year as authorized by Section 8.1 (b) must be approved by a

10 sixty-seven percent (67%) majority of the total eligible votes of the membership of the Association, voting in person or by proxy, at a meeting duly called for such purpose. e. Vote Required for Special Assessment. A Special Assessment authorized by Section 8.1 (c) must be approved by a sixty-seven percent (67%) majority of the total eligible votes of the membership of the Association, voting in person or by proxy, at a meeting duly called for such purpose. f. Commencement Date of Assessment. The first Regular Assessment provided for herein shall commence with the year 1987 and shall continue thereafter from year to year. g. Due Date of Assessment. Regular Assessments shall be paid one year in advance. The first payment of the Regular Assessment shall become due and payable on January 2, 1987; thereafter payments of the Regular Assessment shall be due and payable on the second Day of each January. Payments shall be considered delinquent if not paid by the thirty-first (31 st ) Day of January in which such payment was due and payable. The due date and delinquent date of any Special Assessment under Section 8.1 (e) hereof shall be fixed in the resolution authorizing such Special Assessment. h. Owner s Personal Obligation for Payment of Assessments. The Regular Assessments and Special Assessments provided for herein shall be the personal and individual debt of the Owner of the Lot covered by such assessments. No Owner may exempt himself from liability for such assessments. In the event of default in the payment of any such assessment, the Owner shall be obligated to pay interest at the maximum lawful rate per annum on the amount of the assessment from the due date thereof, together with all costs and expenses, including attorneys fees. i. Assessment Lien and Foreclosure. All sums assessed in the manner provided in this Article but unpaid, shall together with interest as provided in Section 8.1 (h) hereof and the costs of collection, including attorneys fees as hereinafter provided, become a continuing lien and charge on the Lot covered by such assessment, which shall bind such Lot in the hands of the Owner, and its successors and assigns. The aforesaid lien shall be superior to all other liens and charges against the said Lot, except only for tax liens and all sums unpaid on a deed of trust lien of record securing sums borrowed for the purchase, improvement and/or refinancing of a prior purchase or improvement loan of the Lot in question. The Association shall have the power to subordinate the aforesaid assessment lien to any other lien. Such power shall be entirely discretionary with the Association. To evidence the aforesaid assessment lien, the Association shall prepare a written notice of assessment lien setting forth the amount of the unpaid indebtedness, the name of the owner of the Lot covered by such lien and a description of the Lot. Such notice shall be signed by one of the officers of the Association and shall be recorded in the office of the County Clerk of Dallas County, Texas. Such lien for payment of assessments shall be attach with the priority above set forth from the date that such payment becomes delinquent as set forth in Section 8.1 (g) above and may be enforced by the foreclosure of the defaulting Owner s Lot by the Association in like manner as a non-judicial mortgage foreclosure on real property subsequent to the recording of a notice of assessment lien as provided above, of the Association may institute suit against the Owner personally obligated to pay the assessment and/or for foreclosure of the aforesaid lien judicially. In any foreclosure proceeding, whether judicial or not judicial, the Owner shall be required to pay the costs,

11 expenses, and reasonable attorneys fees incurred. The Association shall have the power to bid on the Lot at foreclosure or other legal sale and to acquire, hold, lease, mortgage, convey or otherwise deal with the same. Upon the written request of any mortgagee holding a prior lien on any part of the Properties, the Association shall report to said mortgagee any unpaid assessments remaining unpaid for longer than thirty (30) Days after the same are due. j. Common Properties Exempt. The Common Properties shall be exempt from the assessments and liens created herein and in the Declaration. 8.2 VOTING RIGHTS. An Owner shall be deemed to be in good standing and entitled to vote at any annual or special meeting of Owners, within the meaning of these Bylaws, only if he is current in the assessments made or levied against him and the Lot owned by him, unless the Owner is in good faith contesting the validity or amount of the assessment. 8.3 GENERAL. Each Owner shall comply strictly with the provisions of the Declaration. ARTICLE lx AMENDMENTS TO BYLAWS These Bylaws may be amended by the Association if, at a duly constituted meeting for such purpose, such amendment is approved by Owners owning at least sixty-seven (67%) percent of the Lots. In no event shall the Bylaws be amended to conflict with the Declaration. In the event of a conflict between the Bylaws and the Declaration, the Declaration shall control. ARTICLE X MORTGAGES An Owner who mortgages his Lot shall notify the Association, through the Secretary or Assistant Secretary of the Association, giving the name and address of his mortgagee. The Association shall maintain such information in a book entitled Mortgagees of Lots. ARTICLE Xl NON-PROFIT ASSOCIATION This Association is not organized for profit. No Owner, member of the Board of Directors or person from whom the Association may receive any property or funds shall receive or shall be lawfully entitled to receive any pecuniary profit from the operation thereof, and in no event shall any part of the funds or assets of the Association be paid as a salary or as compensation to, or be distributed to or inure to the benefit of, any member of the Board of Directors; provided, however, always that (1) reasonable compensation may be paid to any Owner while acting as an agent or employee of the Association for services rendered in effecting one or more of the purpose of the Association, and (2) any Director may, from time to time, be reimbursed for his actual

12 and reasonable expenses incurred in the connection with the administration of the affairs of the Association. ARTICLE Xll PRINCIPAL OFFICE The principal office of the Association shall be located at Preston Road, Suite 830, L.B. 44, Dallas, Texas 75240, but may be located at such other suitable and convenient place as shall be permitted by law and designated by the Board of Directors. ARTICLE Xlll EXECUTION OR INSTRUMENTS The persons who shall be authorized to execute any and all instruments of conveyance or encumbrances, including but not limited to deed, deeds of trust, subordination agreements and promissory notes, shall be the officers of the Association. ARTICLE XlV CORPORATE SEAL The Board of Directors shall provide a corporate seal which shall be circular in form and shall have inscribed thereon the name of the Association. CERTIFICATE I HEREBY CERTIFY that the foregoing is a true, complete and correct copy of the Bylaws of Lake Ridge Wildwood Association, Inc., as adopted by the Minutes of Organizational Meeting of Board of Directors by unanimous consent on the 31 st day of December, IN WITNESS WHEREOF, I hereunto set my hand and affix the Seal of the Corporation, this the 31 st day of December, 1986.